How were the financial figures calculated for the Stretch Zone financial performance representation?
Stretch_Zone Franchise · 2025 FDDAnswer from 2025 FDD Document
We calculated the figures in the table in this financial performance representation using financial reports submitted by our franchisees.
The time period measured is calendar year 2024.
The number of units measured is 330.
The number of units reporting is 293.
The number and percentage of units that achieved the stated level of performance is 293 units of 330 units currently operating.
The distinguishing characteristics of the group measured are time in operation and Franchised Units.
- We had to exclude the operation results of 37 units, due to not being able to report accurate annual revenues due to non-compliance.
This Item 19 presents information about the financial performance during our fiscal year ended December 31, 2024 ("Fiscal Year 2024") of certain Franchise Businesses.
The group measured includes all Franchised Units that have been operating for 12 or more months, out of a total of 377 Franchised Units there were operational as of December 31, 2024.
These sales figures do not reflect the costs of sales, operating expenses, or other costs or expenses that must be deducted from the Gross Revenues figures to obtain your net income or profit.
Some Franchise Businesses have sold or earned this amount. Your individual results may differ. There is no assurance that you'll sell or earn as much.
We encourage you to contact our existing franchisees to discuss their experiences with our franchise system and their Franchise Businesses.
Written substantiation for the financial performance representation will be made available to the prospective franchisee upon reasonable request.
Source: Item 19 — ITEM -19 FINANCIAL PERFORMANCE REPRESENTATIONS (FDD pages 73–76)
What This Means (2025 FDD)
According to Stretch Zone's 2025 Franchise Disclosure Document, the financial figures presented in Item 19 were calculated using financial reports submitted by Stretch Zone franchisees. The financial performance representation reflects data from the fiscal year ended December 31, 2024. The group measured includes all Franchised Units that have been operating for 12 or more months, out of a total of 377 Franchised Units operational as of December 31, 2024.
The Item 19 data includes 330 units, with 293 units reporting. The 293 units represent the number and percentage of units that achieved the stated level of performance. However, the financial performance representation excludes the operating results of 37 units because they could not report accurate annual revenues due to non-compliance.
It's important to note that these sales figures do not reflect the costs of sales, operating expenses, or other costs that must be deducted to determine net income or profit. Stretch Zone also states that individual results may differ, and there is no assurance that a franchisee will achieve the same level of sales or earnings. Prospective franchisees are encouraged to contact existing franchisees to discuss their experiences with the Stretch Zone franchise system. Written substantiation for the financial performance representation will be made available to prospective franchisees upon reasonable request.